USA freezes trade cooperation with Russia

The Office of U.S. Trade Representative announced a temporary freeze of trade contacts with Russia. Investment programs of the two countries that have not come into force yet will be suspended as well.

The U.S. side stressed out that the new restrictions would affect only the ways of cooperation, which are only being discussed between the two countries. No existing programs will be shelved, US officials said.

U.S. Defense Department said earlier that all joint exercises, talks, visits and conferences would be interrupted. The Pentagon said that such a situation would last until the Ukrainian crisis is solved.

The head of European diplomacy, Catherine Ashton said yesterday that the EU also planned to freeze all military cooperation with Russia until the crisis was resolved. In particular, it may go about an embargo on the purchase of arms and equipment. The measure will be introduced, if Russian troops do not return to the barracks in accordance with the Budapest Treaty from 1994. EU foreign ministers will discuss possible sanctions against Russia on Thursday, March 6.

The Basmanny Court of Moscow arrested Michael Calvey, the founder of Baring Vostok investment fund, on allegations of embezzling 2.5 billion rubles from Vostochny Bank. Calvey will be held in custody until April 13